Suttons buys Imperial Tankers for £27m

CHESHRE-based Suttons Group, the international chemicals logistics company has announced two significant acquisitions, including a £27m swoop for Imperial Tankers from Hargreaves Services.

Vendor North East-based mining services company Hargreaves said Imperial Tankers had become non core to its other activities. The business generated profit after tax of approximately £1.6m on revenue of £29.7m during the year ended 31 May 2014.

EBITDA in the same period was approximately £4m. The business unit will be sold inclusive of cash balances of £1.6m and £2.7m of asset finance debt, resulting in an effective enterprise value and reduction in overall net debt of £28.1m.

Founded in 1989, Imperial Tankers has a road tanker fleet of over 200 tractor units and 350 tanker semi-trailers and provides both fully managed logistics solutions.

John Sutton, Suttons Group chief executive said: “This transaction is an ideal fit for Suttons and will enable us to continue to deliver high levels of safety and service, improve efficiency and add value through supply chain resilience and innovation. Our joint depot network will enhance our ability to provide an outstanding service to customers in key production regions around the country.

“Our combined fleet of over 700 road tankers gives us an even greater ability to support our customers through times of peak demand and react rapidly to changing customer requirements. By combining the various services offered by each company, we will be able to provide a truly exceptional customer experience that is focused on safety, service and innovation.”

Further afield the family-owned Widnes company has acquired IS Logistics Group (ISLG) in Singapore.  Operating from three locations in Singapore, ISLG provides supply chain and logistics services to the chemical manufacturing industry.

Mr Sutton added: “Our latest acquisition is a significant step as we continue to build our business in logistics hubs and petrochemical manufacturing zones across the world. Having a logistics asset base is essential for us to serve our customers more effectively. Infrastructure on the ground will enable us to grow the successful business we already have in Singapore and provide our customers with an even wider range of logistics and supply chain products and services.”

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